FY 2012 Budget

Shutting Down Versus Sitting Down – Congress returns to Washington this week after lawmakers spent last week back home. Just before leaving town the House of Representatives passed legislation funding the federal government for the rest of this fiscal year that slashes spending by about $60 billion compared to current levels.

Last week, the White House released the President’s FY 2012 budget proposal. On Wednesday, CRFB released its analysis of the budget. Today, we take a closer look at the specific proposals found in the budget’s Terminations, Reductions, and Savings.

In our continued analysis of the President’s budget, we now move to a detailed examination of what the budget, if enacted entirely and without future changes, would look like at the end of the 10-year cycle in 2021 and how it will change from today.

Day of Leaders – Today we celebrate great American leaders with mattress sales and a day off (for some) from work. Congress left town for the whole week. We at the Bottom Line honor the day by calling for the type of leadership embodied by the likes of Washington and Lincoln in dealing with our fiscal challenges. Last week both the White House and Capitol Hill put forth proposals that have much to be desired, meanwhile a bipartisan group of senators is negotiating on the type of comprehensive solution that the nation needs.

In a thoughtful Washington Post op-ed this morning, Sen. Tom Coburn (R-OK) calls for leadership and shared sacrifice on the issue of deficit reduction and urges President Obama to join the growing number of senators who have been brave enough to tackle this critical issue head on.

We go over more specific aspects of the budget, where it makes admirable progress, and where it comes up short. We will be continuing our blog series on the President's proposal throughout the week, so keep checking back with us.

In their reaction to the President's FY 2012 budget proposal, the House Republican leadership has been very critical of the President's reluctance to use this opportunity to address the true drivers of our mounting debt -- the largest of which being entitlements. And now, Republicans have pledged to take up this daunting challenge.